Commission Costs Rise at Amerisafe Even as New Business Volumes Fall
The numbers inside Amerisafe’s Q3 results reveal a competitive workers’ comp market pressing into the high-hazard niche.
Workers' Comp: A Competitive Landscape
Amerisafe, Inc. reported a net combined ratio of 96.5% for the third quarter ended September 30, up from 90.6% in the same period last year—a 5.9-point deterioration. However, a more significant trend lies in the expense ratio, which reached 32.5%, the highest level in recent quarters, up from 31.1% in Q3 2025.
This increase can be attributed to higher insurance-related assessments and rising compensation costs. Yet, the most striking rise is in commission expenses.
Gross premium before reinsurance for the quarter was $478.4 million, a 4.5% increase from the prior year. While new business volume fell 10.7%, suggesting a challenging market environment, Amerisafe’s commission costs climbed.
This trend underscores the competitive pressures in the workers’ comp market, where insurers are grappling with rising costs and shifting dynamics. As Amerisafe navigates these challenges, it will need to find strategies to maintain profitability and manage expenses effectively.